The Blockchain Association has submitted a comment letter to the U.S. Securities and Exchange Commission on its crypto asset regulation proposal, calling for clearer rules on when a token should no longer be treated as an investment contract. The group said the SEC should adopt objective decentralization standards, citing factors such as open-source code and the absence of unilateral censorship power.
The association also proposed raising the startup exemption cap to $10 million and increasing the fundraising exemption threshold to $150 million. In its recommendations, it backed the use of on-chain transparency in place of audits and said airdrops should not be counted toward fundraising totals.
For existing tokens, the group called for a safe harbor framework based on third-party filings. It also supported stronger federal preemption over state-level legislation, while backing 24/7 exchange trading and self-custody. The letter lays out a broader push for more defined treatment of crypto assets under U.S. securities rules.
Odaily reported that the Blockchain Association has submitted a comment letter to the U.S. Securities and Exchange Commission, or SEC, on the agency’s crypto asset regulation proposal.
In the letter, the group recommended raising the startup exemption cap to $10 million and increasing the fundraising exemption threshold to $150 million. It also supported using on-chain transparency as a substitute for audits and said airdrops should not be included in fundraising calculations.
For existing tokens, the Blockchain Association proposed a safe harbor based on third-party filings.
The association also urged the SEC to define objective decentralization standards for when a token should no longer be treated as an investment contract, citing examples such as open-source code and the absence of unilateral censorship power.
It also backed stronger federal preemption over state legislation, while supporting 24/7 exchange trading and self-custody.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
